Argentina bashed by Spain, EU for oil takeover

Argentina's President Cristina Fernandez is attempting to quell increasing unrest at home and boost her popularity with an "unlawful" bid to nationalize YPF, the Argentine oil unit of Spanish energy firm Repsol, the company's president claimed Tuesday as the group's shares plunged more than 7 percent.

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OIL GRAB: Argentina's President Cristina Fernandez is attempting to quell increasing unrest at home and boost her popularity with an "unlawful" bid to nationalize YPF, the Argentine OIL unit of Spanish company Repsol, the company's president claimed Tuesday.

LONDON (Reuters) - Argentina and Repsol SA will sign a definitive $5 billion settlement over the seizure of YPF SA within days, a source involved in the talks said on Thursday, ending a bitter two-year bilateral dispute.

Back in 1999 the Spanish conglomerate Repsol SA completed a takeover of the Argentine energy firm YPF to form one of the largest petrochemical companies in the world. Repsol are now promising to use all legal means possible and necessary to win full compensation after Argentina seized YPF in order to run it as a state owned organisation.

By David White:Argentine President Cristina Fernandez de Kirchner has officially set in motion a plan to take a 51% controlling interest in YPF (YPF) -- Argentina's largest oil and gas company. This action effectively nationalizes the company.